
Workers’ Compensation Insurance: How Does It Protect Your Business and Your Employees
An effective and productive workforce is among your company’s most important resources. However, on-the-job incidents may impact employees’ ability to conduct their tasks efficiently. Additionally, workplace accidents could have dire ramifications for your staff’s morale and might lead to costly legal situations. Considering these possible consequences, a suitable workers’ compensation insurance policy should be considered a business essential.
What is Workers’ Compensation Insurance?
Workers’ compensation coverage is among the most common and important components of a business insurance package. Work-related Injuries, illnesses and other ailments are an unfortunate inevitability, regardless of your commitment to safety and risk management. With this in mind, a workers’ compensation insurance policy may prove to be an essential investment, potentially providing critical resources and aid in the aftermath of workplace accidents.
How Can My Coverage Help?
In response to an employee’s on-the-job health issue, such as a contusion, burn, sprain or repetitive stress injury, they can submit a claim against your business’s workers’ compensation coverage. If approved, your carrier may provide payouts to assist affected employees with the following expenses and losses:
- Health care costs
- Lost wages
- Disability benefits
- Vocational rehabilitation expenses
- Death benefits
Additionally, workers’ compensation insurance typically provides financial protection for employers. Most policies include employers’ liability coverage, which can offer financial assistance if affected staff choose to sue your business, including for the following:
- Attorney fees
- Court costs
- Settlements
- Judgments
Is Coverage Required?
Most states require employers to carry workers’ compensation insurance. For example, in California, laws mandate coverage even for those with only a single employee. Even if your business qualifies for an exemption from these requirements, retaining a policy is generally advisable to secure your financial interests. Additionally, some clients may refuse to work with uninsured businesses.
How to Get the Right Policy
Contact Freeman Insurance Services, Inc. in Albany, CA today to discuss your coverage needs or get a free workers’ compensation insurance quote.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.
Categories: Blog, Workers Compensation